ICT industry deserves govt support

A report showing that a third of
ICT companies view insufficient local demand as a barrier to
growth shows the need for government procurement policy to
back Kiwi businesses, Green Party ICT spokesperson Gareth
Hughes said today.

Statistics New Zealand’s
Information and Communication Technology Supply Survey
released today shows that 33 percent of ICT companies found
“insufficient local demand for goods and service” a
barrier to growth. This comes a day after it was revealed
that National hired an Australian firm to build the
pre-registration website for Mighty River Power.

“New Zealand’s ICT sector has huge potential. The
Government needs to back it, rather than sending work across
the Tasman,” said Mr Hughes.

“It’s very
disappointing to see government contracts like Novopay and
the Mighty River Power website heading offshore when there
are companies here that are perfectly capable of doing the
work.

“If the Government contracts with local
companies it means jobs and income for Kiwis which has a
multiplier effect throughout the economy, and helps build
capacity in the sector. If the Government sends those
contracts offshore, the jobs and money are lost.

“There is no reason why government ICT contracts need
to head overseas. All we need is a government that believes
in New Zealanders.

“The Greens want to back New
Zealand’s ICT industry by making government agencies
consider the wider economic benefits to New Zealand of
supporting the local ICT industry when making purchasing
decisions.

“We would also supply cornerstone
investment to a second international cable to lower prices
so that our companies can compete on an even footing with
international competitors.

“The Greens would also
invest in ICT education and training, to create the next
generation of high-skill ICT workers,” said Mr Hughes.

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